Tips To Overcome Poor Credit

Posted on Monday 06 February 2017


Wouldn’t life be easier if we could just pay for everything in cash? Just go to the bank, drop the bills for whatever we need and off we go.

One thing is for sure, then nobody would ever get a bad credit history. Unfortunately (Or Fortunately), we live in a society where some people, for whatever reason might try to steal your cash. That's why credit cards were invented and along with them came . . . credit history.

So whether we like it or not, it's alway best to have good credit. When you have poor credit and little savings, unpredictable situations can sink you pretty quick. So although savings first, after that you must build your own credit right away. Good financial tips matter no matter who you are. Especially if you have kids down the road.

The good news is that poor credit is something that can be overcome. You don’t have to let a bad credit history ruin your life after all. Which it totally can by the way.

In this article, we’ll give you some tips on how to overcome a poor credit score and a few tips on building a good one as well. After all, a good credit can take you long ways.

Overcoming a History of Poor Credit

Poor credit can happen to anyone. Don't beat yourself up…it’s not the end of the world. Very few people have a perfect credit score, and everyone makes mistakes.

There are a number of ways you can start building a positive credit history. Here are just a few actionable steps you can start taking.

  • Hold a full-time job for as long as you can.
  • Consistently pay your utility bills on time.
  • Keep your debt to income ratio low.
  • If you still have outstanding delinquencies, set up a payment plan and stick to it.

Show creditors that you're trying to get on top of your debts. Remember that they want to see you succeed, and are willing to help you out. Never be afraid to ask for help.

A Secured Credit Card Can Help

A secured credit card requires a refundable security deposit, which gives you a little cushion if you end up missing a payment. It’s an excellent way to get back on track with your credit score.

Treat a secured credit card like any other credit card. Don't spend more than 30% of your available balance, and do your best to pay off the balance every month.

Over time, this can begin to improve your credit and get you back on the right track.

Consider Seeing a Credit Counselor

If you’re in serious credit trouble, we suggest you see a certified credit counselor. A certified credit counselor can guide you through overcoming your debt and poor credit. They can also teach you how to protect yourself from fraud which is essential to learn. A credit counselor can work wonders if you let them. We highly encourage you to at least go to their free sessions if they offer one.

The only reason you are in any kind of financial duress it's because the lack of awareness you have around money. Other thing that literally goes hand in hand with people who are not the best with finance is their own beliefs. These money beliefs that were instilled in you when you were young.

Either by authority figures or by people who were just around you that you directly or indirectly looked up to. Think about it . . . really think about this . . . your judgement about anything (Aka perception), come from where? Most likely your childhood right? Same thing with money. Change your beliefs, release your previous trauma about money and watch it become an incredible tool that will serve you like you want it to.

As always, consistency is key. Stick to the steps outlined in this article, and stay on top of payments. If your debt is overwhelming and you don’t have the cash to make your payments, a payday loan can help you get to the next paycheck. My Canada Payday can get you a loan for up to $1500 in as little as 15 minutes.